Can I retire at age 56 with 889,000?

Use the below retirement simulation to view the chances of a successful retirement.
Confused? Try the simple retirement calculator
About Your Retirement ?
Current Age
Retirement Age
Current Savings $
Annual Deposits $
Annual Withdrawals $
Stock market crash:
Portfolio ?
% in Stocks:
% in Bonds:
% in Cash:
Modify Stock Returns:
0%
Modify Bond Returns:
0%
Modify Cash Returns:
0%
Modify Inflation:
0%
How much money do I need to retire?

This retirement calculator runs simulations based on past data from the S&P 500, 10 Year Treasury Bond, 3 month T-Bill, and US inflation. For each year of each simulation, a random return and inflation amount is chosen.

How to use: Enter your current age and the age when you retire. Then enter your current savings, the amount that you can save annually before you retire, and the amount that you plan to withdraw after retirement. Your annual deposits and withdrawals take inflation into account. For example, if you need $50,000 to live on in retirement using today's dollars, we will automatically take into account the cost of living for your retirement years. The same is true for your annual deposits. Next, decide if you'd like to simulate a stock market crash.

In the portfolio section, choose the makeup of your portfolio with stocks, bonds, and cash. Cash assumes that your money is stored in a savings account. You can then alter the future returns and inflation. For example, if the market has historically returned about 10%, but you think the future will be worse, modify the stock returns by -3%, and the future returns will average out to 7%. Investment fees can also lower stock market returns. Many index funds and ETFs offer extremely low fees and expenses.

Many people receive income in retirement, such as social security, pension plans, part time jobs, annuities, and other benefits. This would allow you to take out smaller distributions every year. Please note that taxes must also be considered, but are not used in this simulation. A 401k, Roth IRA, and Traditional IRA are taxed differently than a standard investment account, as are dividends.

Note: This assumes that the future is at least somewhat like the past. In reality, anything could happen. The Soviet Union collapsed, Japan's Nikkei Index is still well below its 1989 peak. Numerous other markets have changed drastically and never recovered. However, this online tool is helpful in retirement planning and estimating how much you might need for retirement, especially those hoping to retire early. We recommend receiving advice from a financial planner.

Want to retire with $889,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%14.3%
1 years$73,413$72,759$72,121$71,498$70,890$69,630
2 years$36,343$35,666$35,010$34,374$33,757$32,492
3 years$23,988$23,308$22,654$22,024$21,417$20,186
4 years$17,812$17,134$16,486$15,867$15,275$14,087
5 years$14,107$13,433$12,794$12,187$11,612$10,471
6 years$11,638$10,969$10,339$9,746$9,188$8,096
7 years$9,875$9,212$8,592$8,013$7,472$6,429
8 years$8,553$7,896$7,287$6,722$6,199$5,204
9 years$7,526$6,875$6,276$5,726$5,220$4,274
10 years$6,705$6,060$5,472$4,935$4,448$3,549
11 years$6,033$5,395$4,817$4,295$3,825$2,972
12 years$5,474$4,842$4,275$3,768$3,315$2,507
13 years$5,001$4,376$3,820$3,326$2,891$2,126
14 years$4,596$3,978$3,432$2,953$2,534$1,812
15 years$4,245$3,634$3,099$2,633$2,231$1,550
16 years$3,939$3,334$2,809$2,358$1,972$1,330
17 years$3,668$3,070$2,556$2,118$1,748$1,144
18 years$3,429$2,837$2,334$1,909$1,555$987
19 years$3,214$2,629$2,136$1,725$1,386$853
20 years$3,021$2,443$1,961$1,562$1,238$738
21 years$2,847$2,276$1,803$1,418$1,108$640
22 years$2,689$2,124$1,662$1,289$993$556
23 years$2,545$1,987$1,535$1,174$891$483
24 years$2,413$1,862$1,419$1,071$801$420
25 years$2,292$1,747$1,315$978$721$365
26 years$2,180$1,642$1,219$894$649$318
27 years$2,077$1,545$1,132$819$585$277
28 years$1,981$1,456$1,052$750$528$242
29 years$1,892$1,374$979$688$477$211
30 years$1,810$1,297$912$631$431$184
31 years$1,732$1,226$850$580$390$161
32 years$1,660$1,160$793$533$352$140
33 years$1,592$1,099$741$490$319$122
34 years$1,528$1,042$692$451$289$107
35 years$1,468$988$647$415$262$93
36 years$1,412$938$605$382$237$82
37 years$1,359$891$567$352$215$71
38 years$1,308$846$531$325$195$62
39 years$1,261$805$497$299$177$55
40 years$1,215$766$466$276$160$48
41 years$1,173$729$437$255$145$42
42 years$1,132$694$410$235$132$36
43 years$1,093$661$385$217$120$32
44 years$1,056$630$361$200$109$28
45 years$1,021$601$339$185$99$24
46 years$988$573$318$171$90$21
47 years$956$547$299$158$81$19
48 years$925$522$281$146$74$16
49 years$896$499$264$135$67$14
50 years$868$477$248$125$61$12

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 56 starting with $889,000, adding $5,723 every year, while hoping to spend $45,788 every year in retirement. These numbers increase with inflation.
Reality usually performs much different than the expected returns. This uses historical averages, but anything can happen. In general, riskier investments have greater returns on average, but more volatility in the short term.
Age Total: 100% Stocks Total: 100% Bonds Total: 100% Cash Total: 28/43/29 Blend
55$889,000$889,000$889,000$889,000
56$985,581$938,464$924,685$1,004,216
57$1,037,392$935,731$906,944$1,016,894
58$1,092,954$931,329$887,074$1,026,188
59$1,152,599$925,129$864,955$1,035,260
60$1,216,696$916,991$840,462$1,044,123
61$1,285,646$906,771$813,465$1,052,797
62$1,359,892$894,313$783,826$1,061,307
63$1,439,919$879,452$751,402$1,069,685
64$1,526,260$862,015$716,044$1,077,973
65$1,619,502$841,816$677,594$1,086,222
66$1,720,287$818,661$635,889$1,094,493
67$1,829,323$792,343$590,759$1,102,860
68$1,947,389$762,642$542,024$1,111,411
69$2,075,338$729,328$489,497$1,120,249
70$2,214,112$692,154$432,985$1,129,496
71$2,364,745$650,863$372,283$1,139,292
72$2,528,373$605,179$307,178$1,149,802
73$2,706,247$554,812$237,449$1,161,214
74$2,899,743$499,458$162,863$1,173,746
75$3,110,377$438,791$83,178$1,187,646
76$3,339,813$372,469$0$1,203,197
77$3,589,885$300,131$0$1,221,300
78$3,862,610$221,395$0$1,269,251
79$4,160,211$135,858$0$1,321,788
80$4,485,130$43,093$0$1,379,472
81$4,840,060$0$0$1,442,929
82$5,227,962$0$0$1,539,996
83$5,652,097$0$0$1,668,564
84$6,116,058$0$0$1,809,347
85$6,623,797$0$0$1,963,563
86$7,179,668$0$0$2,132,554
87$7,788,465$0$0$2,317,796
88$8,455,469$0$0$2,520,917
89$9,186,494$0$0$2,743,706
90$9,987,942$0$0$2,988,139
91$10,866,868$0$0$3,256,387
92$11,831,040$0$0$3,550,846
93$12,889,013$0$0$3,874,152
94$14,050,212$0$0$4,229,211
95$15,325,019$0$0$4,619,223
96$16,724,870$0$0$5,047,713
97$18,262,361$0$0$5,518,564
98$19,951,370$0$0$6,036,056
99$21,807,185$0$0$6,604,902
100$23,846,648$0$0$7,230,295